5-Year U.S. Treasury Yield vs. Bank Stocks Correlation The combination of higher bond yields and rising bank stocks is often often viewed as a sign of a bullish market environment. Image: BofA Global Investment Strategy
U.S. Stocks – Average Stock Correlation in the S&P 500 The current trend in the S&P 500 indicates a significant rise in stock correlation, suggesting a more homogenous market behavior that could pose risks for investors relying on diversification strategies. Image: Goldman Sachs Global Investment Research
Rolling 24 Month Correlation Between U.S. Treasury Bonds and Equities Amid high inflation, UST bonds become less effective as a hedge against U.S. stocks, as rising prices erode bond payouts and interest rate hikes lead to a drop in bond prices. Image: BofA Research Investment Committee
S&P 500 Realized 3-Month Single Stock Correlation The current low correlation regime is reminiscent of the dot-com bubble and could persist for some time, but history suggests it will likely reverse when the market experiences its next downturn. Image: BofA Global Research
Correlation Between the S&P 500 and U.S. 10-Year Treasury Yields The negative correlation between the S&P 500 and U.S. Treasury yields has weakened significantly since August. This moderation in the negative correlation may be seen as good news. Image: BofA Global Research
Correlation Between AAII Bull-Bear Spread and S&P 500 Returns The AAII bull-bear spread may not necessarily be a reliable predictor of future S&P 500 returns. Image: BofA US Equity & Quant Strategy
Correlation – S&P 500 Growth vs. S&P 500 Value The correlation between S&P 500 Growth and S&P 500 Value continues to increase. Image: The Daily Shot
S&P 500 – Cross-Asset Correlations So far, the S&P 500 remains inversely correlated with the U.S. dollar and positively correlated with U.S. 10-year bonds. Image: Goldman Sachs Global Investment Research
MSCI All Country World Index and Global Pairwise Stock Correlations The bear market bottom is probably not yet in, as stock correlation is higher at global market bottoms. Image: Morgan Stanley Wealth Management
S&P 500 Industry Group Return Macro Correlations Should investors still favor defensive value? Image: Stifel